Suppose you find a house for $215,000 and the bank gives you a great deal on a loan: 5.125% (compounded monthly) for 30 years. You put down 10%.

1. What is your monthly payment?
2. How much will you still owe on the house after 10 years?
3. How much of the 1^st payment goes to the bank?
4. How much of the 200^th payment goes to the bank?
5. Suppose you can pay an extra $200.00 a month. When will the loan be paid off (how many years and months)?
6. Suppose you can double your monthly payment. When will the loan be paid off (how many years and months)?
7. How much do you pay for the house, total, if you dont add anything extra to your payment?
8. How much do you pay for the house, total, if you add $200 extra to your payment?
9. How much do you pay for the house, total, if you double your payment?
10. In a sentence or two, write what you have learned by doing these calculations.